Can silver have a comeback in 2019? The white precious metal had a fairly disastrous year in 2018. So, what are its possibilities in 2019? Experts believe that the market is quite volatile, and still, there are a few things that are optimistic about the precious metal.
Garrett Goggin, Editor of GSA Silver, stated in an interview that in the context of seasonality, the price of silver since 2000 over the first quarter met averages of over 8% returns. Apart from this, it is reported that there have been some massive rallies of the low. In 2016, there was a massive rally, and a couple of other years, there were good rallies in the first quarter, which spells optimism for the white precious metal.
In the context of silver producers and silver mining closures, there could be some small closures. The research on the silver mining industry covering 25 silver mining producers and developers suggests that half of them are losing money. Yet, some miners are producing profitably. Meanwhile, the signing of the deal by Pan American Silver Corp. to acquire Tahoe Resources Inc. in a stock and cash deal places Pan American as the 5th or the 6th largest miner in the world. In contrast, some of the other smaller silver miners are still struggling and are forced to deal with their shares.
The white precious metal reportedly has some really great pre-cash-flow yield companies. And, there are some good opportunities in the silver sector due to the discounts provided. So, will silver be the star metal in 2019? Goggin stated that silver was like gold on steroids. And, with the volatility in the market, gold would be back into favour, and if the Fed goes easy on raising the interest rates, then gold could do extremely well, and silver would follow. In the context of silver, the metal is more volatile, and experts believe that silver would be really doing well in the environment.